Case Law[2025] ZAGPPHC 622South Africa
Sefateng Chrome Mine (Pty) Ltd v Minister of Mineral Resources and Energy and Others (36955/2022) [2025] ZAGPPHC 622 (9 June 2025)
High Court of South Africa (Gauteng Division, Pretoria)
9 June 2025
Headnotes
a Mining Right, with departmental reference LP 30/5/2/2/1/10062 MR.
Judgment
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## Sefateng Chrome Mine (Pty) Ltd v Minister of Mineral Resources and Energy and Others (36955/2022) [2025] ZAGPPHC 622 (9 June 2025)
Sefateng Chrome Mine (Pty) Ltd v Minister of Mineral Resources and Energy and Others (36955/2022) [2025] ZAGPPHC 622 (9 June 2025)
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sino date 9 June 2025
REPUBLIC
OF SOUTH AFRICA
IN
THE HIGH COURT OF SOUTH AFRICA
GAUTENG
DIVISION, PRETORIA
Case Number:
36955/2022
(1) REPORTABLE: YES / NO
(2) OF INTEREST TO OTHER
JUDGES: YES/NO
(3) REVISED: YES/NO
DATE: 9.6.2025
SIGNATURE
In
the matter between:
SEFATENG
CHROME MINE (PTY) LTD
APPLICANT
and
MINISTER
OF MINERAL RESOURCES AND ENERGY
1
ST
RESPONDENT
DIRECTOR-GENERAL:
DEPARTMENT OF
MINERAL
RESOURCES AND ENERGY
2
ND
RESPONDENT
DEPUTY
DIRECTOR-GENERAL: DEPARTMENT OF
MINERAL
RESOURCES AND ENERGY
3
RD
RESPONDENT
REGIONAL
MANAGER, LIMPOPO REGION:
DEPARTMENT
OF MINERAL RESOURCES
AND
ENERGY
4
TH
RESPONDENT
LETHABO
EXPLORATION (PTY) LTD
5
TH
RESPONDENT
JUDGMENT
Van Aswegen AJ
INTRODUCTION:
[1]
This is a review application on grounds as set out in the Promotion
of Administrative
Justice Act, 3 of 2000 (“PAJA”).
[2]
The Applicant seeks the following relief:
[1]
[2.1]
That the First Respondent's decision to refuse the Applicant's
administrative appeal
(with Departmental Reference 9/2/4/3/796) on 12
January 2022, is reviewed and set aside.
[2.2]
That the decision of the Second Respondent dated 28 June 2017 to
grant a mining right (LP 30/5/1/2/2/10073
MR) for andalusite and
magnesite, excluding chrome ore, in terms of section 23 of the
Mineral and Petroleum Resources Development
Act 28 of 2002 ("MPRDA"),
in respect of farm Waterkop 113 KT in the Limpopo Province, to the
Fifth Respondent ("the
Mining Right'), is reviewed and set
aside.
[2.3]
That the aforesaid decisions are replaced and substituted with the
following decision by the Second
Respondent to refuse the Fifth
Respondent's application for a Mining Right: The Fifth Respondent's
application for a Mining Right
[LP 30/5/1/2/2/10073 MR] is refused;
[2.4]
to the extent that it may be necessary, any delay in the launch of
this application is condoned
in terms of
s 9(1)
of the
Promotion of
Administrative Justice Act 3 of 2000
.
[2.5]
the First, Second and Fifth Respondents jointly and severally to pay
the costs of this application.
FACTUAL MATRIX:
[3]
On
24 May 2013
the Applicant (“Sefateng”) was a
prospecting right holder in respect of the Farm Waterkop 113. Since
12 September 2014
Sefateng however held a Mining Right, with
departmental reference
LP 30/5/2/2/1/10062 MR
.
[3.1]
This right pertains to Chrome ore on the Farm Waterkop 113, granted
under
section 23
of the MPRDA until 2044.
[3.2]
The
applicant’s prospecting right was initially held by
Corridor
Mining Resources (Pty) Ltd
.
[3.2.1]
The first respondent denied
ministerial consent for the cession of this right to Sefateng
on 10
and 17 May 2022. Sefateng sought a review, and the court overturned
these decisions, granting consent under
section 11
of the MPRDA.
[2]
[3.3]
Sefateng is a lawful occupier of the Land under
section 5(3)
of the
MPRDA, due to its registered Mining Right on the Land.
[4]
Sefateng, as the holder of a Mining Right under
section 23
of the
MPRDA, therefore has the right to mine and recover minerals (in this
case, Chrome ore) on the Farm Waterkop 113. This right
includes those
outlined in
section 5
of the MPRDA and additional rights conferred by
its Mining Right terms and conditions, namely:
[4.1]
The right to mine for chrome ore on or under
that land for its own benefit and
accounting;
[3]
and
[4.2]
the right to extract and dispose of any discovered mineral during
mining operations.
[4]
[5]
The Sefateng Mining Right
[5]
explicitly states that Sefateng has been granted the exclusive right
to mine and extract the minerals (Chrome ore) within the designated
mining area for its own benefit and account.
[6]
Subsequent thereto the first respondent promulgated a moratorium
pursuant to
section 49
of the MPRDA by Notice 367 of Government
Gazette 34690 of May 2013. The restriction issued stated the
following:
"
The Minister
hereby impose a restriction under
section 49(1)
for a
period not exceeding 10 years from the publication hereof
on
the granting of new reconnaissance permission, prospecting rights,
mining rights, production right, exploration right and mining
permits
in respect of Unsurveyed State land known as Klein Letaba, the farms
Alten 221 LT, Plange 222 LT, Zwartkoppies 413 KT
Waterkop
113 KT
, Molendraai 811 LR, Commandodrift 228 LR, Gezond
235 KR, Inhambane 802 LR, Twyfelaar 119 KT, Mineral Area No. 3 and 4
of the farm
Maandagshoek 254 KT, Mineral Area No. 5 on Portion of the
farm Mandaagshoek 254 KT and Portion of Portion 1 of the farm
Mooihoek
255 KT.
This
restriction will not affect those entities' rights to exercise their
respective exclusive rights in terms of section 19(1)(b)
of the Act
,
or the renewal of any rights in terms of the Act
."
(my underlining)
[7]
On 20
November 2014, the fifth respondent (“Lethabo”)
informed
Corridor
Mining Resources (Pty) Ltd
,
the former prospecting right holder about its mining right
application.
[6]
[8]
Upon being notified of the application by
Corridor
Mining Resources (Pty) Ltd
,
Sefateng filed an objection pursuant to section 10 of the MPRDA
against the issuance of the Lethabo mining right.
[7]
[9]
On 26 June 2017, Lethabo received a Mining Right for
Andalusite
and Magnesite
at Farm Waterkop113 KT; PGM, Iron, Titanium,
Andalusite, Vanadium, and Magnesite at Portions 2, 3, and 4 of Farm
Mecklenburg 112
KT; and Iron, Titanium, Chrome, and Andalusite at
Farm Malekskraal 509 KS, Limpopo Province.
[9.1]
The aforementioned mining right encroached upon the Land, Farm
Waterkop 113, which was already encompassed
by Sefateng’s
existing Mining Right where Sefateng operates its chrome mine;
[9.1.1]
Sefateng is the lawful occupier of Farm Waterkop 113, as well as an
interested
and affected party under section 5(3) of the MPRDA.
[9.2]
The mining right was granted without consulting Sefateng, who had an
ongoing chrome mining operation
on the specified land.
[10]
The issues in
paragraphs 9.1 and 9.2 were addressed in an internal administrative
appeal, which was lodged on 15 December 2017.
[8]
[11]
Sefateng argued that the second respondent wrongly granted the Mining
Right to Lethabo without considering the absence of a consultation
record required by section 22(4) of the MPRDA.
[11.1]
Section 22(4) reads as follows:
“
4)
If the Regional Manager accepts the application, the Regional Manager
must, within 14 days from
the date of acceptance, notify the
applicant in writing-
(a)
to conduct an environmental impact
assessment and submit an environmental management programme for
approval in terms of section
39, and
(b)
to notify and consult with
interested and affected parties
within 180 days from the date of the
notice
.” (my underlining)
[11.2]
Therefore, section 23(1)(g) read with subsection (3) of the MPRDA
prohibited the grant.
“
Granting
and duration of mining right
23.
(1) Subject to subsection
(4), the Minister must grant a wining right if-
(g)
the applicant is not in contravention of
any provision of this Act
; and …”
3) The Minister must
refuse to grant a mining right
if the application does not
meet all the requirements referred to in subsection (1).
”
(my underlining)
[12]
On 27 August 2020,
as part of the internal appeal process, the DMRE provided
the fourth
respondent's reasons for the decision.
[9]
The reasons were the following:
[12.1]
Sefateng and Lethabo
'co-existed'
on the Land whilst Lethabo
still held a prospecting right;
[12.2]
An interested and affected party is determined by "
whoever,
held a valid right (prospecting/mining right and permits) at the time
Lethabo lodged the mining
right
application, is an interested and affected party.”
[12.3]
Sefateng held no right
save for the right to apply for and be granted a mining
right and
that it follows therefore, that Lethabo was not obligated to consult
Sefateng.
[12.4]
Sefateng held no right
save for the right to apply for and be granted a mining
right and it
follows therefore, that Lethabo was not obligated to consult
Sefateng.
[12.5]
The objection referred to by Sefateng at paragraph 4.4.4 of the
appeal was lodged
outside the prescribed timeframes within which an
objection in terms of section 10 of the Act maybe evaluated
[12.6]
The objection included grounds detailed in the initial appeal
against the acceptance
of the disputed mining right
application. The second respondent reviewed and addressed these
grounds during the first appeal. As
the second respondent had already
made a decision on this matter, the same grounds cannot be
reconsidered in the second appeal.
[13]
On 28 September 2020 Sefateng filed its response to the aforesaid
reasons,
as
provided
for in Regulation 74(8).
[10]
[14]
Sefateng submitted in essence that it was an interested and affected
party at
all relevant times to the
Lethabo mining right application and Lethabo was obligated to consult
it. In the absence of any proof
of any engagement to consult as
required by section 22(4)(b) of the MPRDA, it cannot be regarded as
compliance and accordingly,
the Mining Right could not be granted, as
provided for in section 23(1)(g) read with subsection (3) of the
MPRDA.
[15]
Concerning the section 10 objection, Sefateng stated that the
Regional
Manager erred in this regard
in
that the mining right was granted by the second respondent and that
the appeal had to be considered by the first respondent.
The first
respondent could indeed be called upon to consider the same grounds
in the appeal.
[16]
The existence of the section 10 objection dated 11 December 2014 is
common
cause. In terms of section 10(2) of the MPRDA, the Regional
Manager was compelled to refer the objection to the Regional Mining
Development and Environmental Committee ("RMDEC") for
consideration, which was to advise the first respondent thereon.
[11]
[17]
On 12 January 2022, the first respondent notified Sefateng that its
internal
administrative appeal had essentially been denied.
[12]
[18]
The DMRE Minister’s (the first respondent) grounds for the
denial
were as follows:
[13]
[18.1]
that Lethabo, as a purported holder of a prospecting right, was
exercising its
exclusive right to apply for a Mining Right;
[18.2]
that Lethabo applied for Andalusite and Magnesite, which are not
included in Sefateng's
Mining Right.
[18.3]
that Lethabo was not legally obligated to consult with Sefateng.
[19]
Sefateng asserts that both respondents were mistaken in concluding
that
consultation with Sefateng was unnecessary.
[20]
Section 22(4)(b) of the MPRDA requires applicants seeking a Mining
Right
to consult with landowners, lawful occupiers (such as
Sefateng), and any affected parties following the acceptance of their
application,
and to include the results of such consultations in
environmental reports.
[21]
Section 23(1)(g) of the MPRDA makes compliance with its provisions a
prerequisite for the granting of a Mining Right. The Minister (or his
delegate) is authorized to grant a Mining Right only if, among
other
conditions, “
the applicant is not violating any provision”
.
[22]
Sefateng argues that the decision that consultation was not required
and the failure to consult as required by the MPRDA, renders the
decision by the first and second respondent, to grant a Mining
Right
to Lethabo, over the same Land, unlawful and liable to be set aside
on review.
[23]
Additionally it is contended that the minerals Andalusite and
Magnesite are not present
on the Farm Waterkop 113. The Lethabo
Mining Right was furthermore granted during a moratorium which
imposed a 10-year restriction
on the issuance of any Mining Rights
over, among other areas, the Farm Waterkop 113. This occurred under
conditions where Lethabo
did not possess a valid Prospecting Right at
that time.
PLEADINGS AND
HEARING OF REVIEW:
[24]
On 11 July 2022,
Sefateng initiated the review proceedings.
[14]
[25]
The application was formally
served on the First Respondent on 15 July 2022 at
the principal place
of business of the state attorney.
[15]
[26]
The second and third
respondents were served on 21 July 2022, at their principal
place of
business by handing the application to Ms. Given Makhubela.
[16]
[27]
Service was affected on the 4
th
Respondent
on 15 July 2022 at its principal place of business by handing the
application to Mr. Abram Seimela.
[17]
[28]
Lethabo was served
on 14 July 2022 at its registered address.The application
was
received by Mr. Josias Nyamusa, who is the director's domestic
help.
[18]
On
18 October 2022, at the principal place of business of Lethabo, the
application was served on Mr. Daniel Mabona, a clerk.
[19]
[29]
None of the
decision-makers within the Department of Mineral Resources and
Energy
(DMRE) oppose this application.
(1
st
to 4
th
Respondents)
[30]
Lethabo served a Notice of Intention to Oppose dated 10 May 2023
[20]
and delivered an answering affidavit.
[21]
[31]
Sefateng subsequently delivered a replying affidavit.
[22]
[32]
The matter was scheduled for hearing on the opposed motion court roll
for 19 May 2025.
[23]
The
setdown was send to the attorneys of Lethabo (the 5
th
Respondent)
via electronic mail on 27 November 2024.
[24]
[33]
On 21 May 2025, I
was informed that Lethabo’s lawyers,
Dixon
Attorneys
,
had filed and uploaded on Case-lines a notice of withdrawal as
attorneys of record.
[25]
The
said notice is dated 19 May 2025.
[34]
I proceeded to hear the matter as the 5th Respondent must have been
informed
of the hearing date by its attorneys as the notice of
setdown preceded the notice of withdrawal.
[35]
I granted Sefateng
leave to submit an additional affidavit to present a copy
of the
Lethabo Mining Right
[26]
before the Court. This document was neither included in the Record
nor provided by Lethabo in its answering affidavit, thus no
prejudice
results from this submission.
[36]
Although not present in court I will at the outset address Lethabo’s
opposition to this application.
POINTS
IN LIMINE
:
[37]
Lethabo raised two
in limine
points, namely:
[37.1]
The authority of Mr.
Gerard Jacobus Blaauw's to represent Sefateng in the
proceedings and
to verify the initial documents.
[27]
[37.2]
That the review is
purportedly out of time. It contends that the review
application is
untimely on the grounds that Sefateng allegedly became aware of
Lethabo's Mining Right earlier than Sefateng has
claimed.
[28]
EVALUATION OF THESE
POINTS:
LACK OF AUTHORITY:
[38]
Lethabo pleaded that
the Applicant's deponent is not authorised by the Directors
of the
company and the Companies Act to have deposed to the founding
affidavit, and that the application is therefore fatally flawed.
[29]
[39]
The resolution also did not meet the requirements of section 74(1) of
the Companies Act as it was signed by only one director.
[39.1]
“
Directors acting other than at
meeting
74.
(1) Except to the
extent that the Memorandum of Incorporation of a company provides
otherwise, a decision that could be voted
on at a meeting of the
board of that company may instead be adopted by written consent of a
majority of the directors, given in
person, or by electronic
communication, provided that each director has received notice of the
matter to be decided.
(2)
A decision made in the manner contemplated in this section is of the
same effect as if it had been approved
by voting at a meeting.”
[40]
This point lacks merit in that there was a resolution passed and
signed
by the majority of Sefateng’s directors.
[30]
[41]
Sefateng accordingly had:
[41.1]
the authority to institute these proceedings and
[41.2]
Mr. Gerard Jacobus Blaauw was authorised to depose to the
founding
and any other affidavits and to sign any and all documentation
pertaining to the aforementioned litigation and in general,
to do all
the necessary required in this regard in execution of his mandate to
ensure the institution of such application and obtaining
the relief
sought.
[42]
The
Supreme Court of Appeal furthermore held that a party that is a
deponent to an affidavit in motion proceedings need not be authorised
by the party concerned to depose to the affidavit. It is merely the
institution of legal proceedings and the prosecution thereof
which
must be authorised
[31]
[43]
The Applicant did authorize the institution of these proceedings by
means
of the aforesaid resolution. The
point in limine
must
accordingly fail.
LATENESS OF REVIEW
APPLICATION
[44]
Lethabo claims that Sefateng
failed to comply with the provisions of the Promotion
of
Administrative Justice Act 3 of 2000 (“the Act”) by not
lodging the Review
application
from the time it allegedly
became
aware
of
the Mining Right granted
to
Lethabo.
[32]
[45]
Section 7(1)(a) read with section 7(2)(a) of PAJA provides that
judicial review
must be instituted
within 180 days
after the
date on which any proceedings instituted in terms of internal
remedies "
have been concluded
".
[46]
Section 7(1) of the PAJA provides as follows:
"(1) Any
proceedings for judicial review in terms of section 6(1) must be
instituted without unreasonable delay and not later
than 180 days
after the date-
(a)
subject to subsection (2)(c), on which
any proceedings
instituted in
terms of internal remedies
as
contemplated in subsection (2)(a)
have
been concluded
; or
(b)
where no such remedies exist
,
on which the person concerned was informed of the administrative
action,
became aware of the
action
and the reasons for it or
might reasonably have been expected to have become aware of the
action and the reasons.
"
[own
underlining]
[47]
Section 7(2)(a) of PAJA compels an applicant in a review (and absent
an exemption under exceptional circumstances) to first exhaust an
available internal remedy before instituting a review application:
"(2)(a)
Subject to paragraph (c), no court or tribunal
shall
review an administrative action in terms of this Act unless any
internal remedy provided for in any other law has first been
exhausted
.
"
(my underlining)
[48]
Section 96 of the Mineral and Petroleum Resources Development Act 28
of 2002
(“MPRDA”) expressly provides for an internal
remedy against a decision to grant a Mining Right:
"
96
Internal
appeal process and access to courts
(1)
Any person whose rights or legitimate
expectations have been materially and adversely affected or who is
aggrieved by any administrative
decision in terms of this Act may
appeal within 30 days becoming [sic] aware of such administrative
decision in the prescribed
manner to-
(a)
the Director-General, if it is an
administrative decision by a Regional Manager or any officer to whom
the power has been delegated,
or a duty has been assigned by or under
this Act;
(b)
the Minister, if it is an administrative
decision that was taken by the Director-General or the designated
agency.
(2)(a) An
appeal in terms of subsection (1) does not suspend the administrative
decision, unless it is suspended by
the Director-General or the
Minister, as the case may be.
(b)
Any subsequent application in terms of this Act must be
suspended pending the finalisation of the appeal referred
to in
paragraph (a).
(3)
No person may apply to the court for the
review of an administrative decision contemplated in subsection (1)
until that person has
exhausted his or her remedies in terms of that
subsection.
(4)
Sections 6, 7 (1) and 8 of the Promotion of
Administrative Justice Act, 2000 (Act 3 of 2000), apply to any court
proceedings contemplated
in this section"
(my
underlining)
[49]
Therefore the relevant date from which the 180-day period is to be
calculated
is not the date when Sefateng became aware of Lethabo's
Mining Right but the date when the section 96 MPRDA internal appeal
was
concluded.
[50]
The internal appeal was concluded on 12 January 2022.
[33]
[50.1]
It should be noted that Lethabo did not
participate in the internal appeal process nor raise any opposition
to the internal appeal
process.
[51]
Having considered the actions taken by the Applicant I
find
that Sefateng did exhaust its internal remedy in terms of section 96
of the MPRDA and did institute the review application
on 11 July 2022
within 180 days.
[34]
[52]
This
point in limine
must accordingly also be dismissed.
DECISIONS LEADING
TO THE REVIEW:
[53]
The decisions which gave raise to the review and are challenged are
the following:
[53.1]
the Second Respondent’s decision dated 28 June 2017
to grant
Letabho (the Fifth Respondent) mining right
LP3015/1/1/1/10073
MR
for andalusite and magnesite,
excluding chrome ore
in terms of section 23
of the MPRDA
which overlapped with
Sefateng's existing Mining Right land.
[53.2]
the First
Respondent’s
decision to refuse the Applicant's administrative appeal with
departmental reference 9/2/4/3/796 12 January 2022.
[54]
The applicant in essence claims that Lethabo could not be granted a
Mining
Right under circumstances where its prospecting right had
already lapsed by the time it applied for a Mining Right.
Consequently,
Lethabo did not possess the sole and exclusive right to
apply for a Mining Right at that time, which was the basis for the
finding
against Sefateng during the internal appeal. Additionally,
the decision to grant Lethabo a Mining Right was contrary to a
Moratorium
issued at the time. Lethabo's application for a Mining
Right was therefore unlawfully accepted and granted.
[55]
Lethabo's failure to consult Sefateng, along with the issue of the
granting
an overlapping Mining Right, have been the subject of
ongoing administrative proceedings for several years.
APPLICABLE
LEGISLATION AND CASELAW
[56]
Under section 22(2)(b) of the MPRDA, a Mining Right application can
only
be accepted if no one else holds prospecting rights, mining
rights, mining permits, or retention permits for the same mineral and
land.
## [57]The prohibition outlined in section 22(2)(b) of
the MPRDA was upheld by the
Constitutional Court in the case of Minister of MineralResources v Sishen Iron Ore Co (Pty)
Ltd and Another2014 (2) SA 603 (CC)
(12 December 2013).The Court confirmed that if a right
already exists in relation to the same mineral on the same land, the
state cannot grant this
right to anyone other than the current
right-holder, as doing so would conflict with the framework of the
MPRDA.
[57]
The prohibition outlined in section 22(2)(b) of
the MPRDA was uphe
ld by the
Constitutional Court in the case of Minister of Mi
neral
Resources v Sishen Iron Ore Co (Pty)
Ltd and Another
2014 (2) SA 603 (CC)
(12 December 2013).
The Court confirmed that if a right
already exists in relation to the same mineral on the same land, the
state cannot grant this
right to anyone other than the current
right-holder, as doing so would conflict with the framework of the
MPRDA.
##
[58]
Section 22(4)(b) of the MPRDA mandated that upon applying for a
Mining
Right, a party has to notify and consult with the lawful
occupier and interested and affected party, in the prescribed manner
and
incorporate the outcome of this consultation into the relevant
environmental reports. This requirement must be adhered to.
[58.1]
Proof of consultation is accordingly essential. In the absence
of
such proof section 22(4)(b) of the MPRDA is violated.
[58.2]
In the case of
Bengwenyama Minerals (Pty) Ltd v Genorah Resources
(Pty) Ltd
2011 (3) BCLR 229
(CC)
, it was established that this
compulsory consultation serves the purpose of achieving a prior fair
and reasonable balance between
conflicting rights regarding the use
of the land.
[59]
Section 23(1)(g) of the MPRDA states that compliance with the MPRDA
is
a requirement for issuing a Mining Right. Consequently, the
Minister or their delegate may grant a Mining Right only if specific
conditions are satisfied, including that
"...the applicant
is not in contravention of any provision..."
[60]
Section 6(1) of the MPRDA explicitly mandates that administrative
processes
and decisions made under the MPRDA must adhere to the
principles of lawfulness, reasonableness, and procedural fairness.
[61]
A mining right, once granted and registered under the Mining Titles
Registration
Act 16 of 1967, constitutes a limited real right in
relation to the relevant minerals and land in terms of
section 5(1)
of the
Mineral and Petroleum Resources Development Act (MPRDA
).
[62]
One of the explicit objectives of the MPRDA is to ensure security of
tenure for mining companies that have invested substantial amounts of
money into mining ventures.
THE CONSTITUTION
AND MPRDA
[63]
The applicable rights in this application are outlined in the
following sections
of the Constitution and MPRDA:
[63.1]
Section 25 of the Constitution and section 2(g) of the MPRDA ensure
mining
right holders have security of tenure. The issuance of a
Mining Right where there is already an existing one will impact on
the
security of tenure.
[63.2]
Section 5(1) of the MPRDA specifies that a mining right, once granted
and
registered in accordance with the Mining Titles Registration Act
16 of 1967, constitutes a limited real right in relation to the
minerals and land concerned.
[63.3]
Section 33 of the Constitution provides individuals with the right to
lawful,
reasonable, and procedurally fair administrative action. It
also permits court review if these rights are negatively impacted.
[64]
The fundamental right to administrative justice is enshrined in
section
33 of the Constitution. The officials of the DRE also have a
constitutional duty to ensure that the administrative actions of
prosecuting,
processing, and deciding on an application for a mining
right, as well as any subsequent internal appeal, are lawful,
rational,
reasonable, and procedurally fair.
[65]
Section 237 of the Constitution requires that this constitutional
duty be
performed diligently.
GROUNDS FOR REVIEW:
[66]
Sefateng challenges the decision of the DMRE Director-General (the
second
respondent) to grant Lethabo a Mining Right:
[66.1]
notwithstanding a moratorium prohibiting the issuance of new mining
rights over the Land;
[35]
[66.2]
without consulting Sefateng, who already had a chrome mining
operation on the Land;
[66.3]
which overlapped with Land (Farm Waterkop 113) and was already
part of
the Sefateng Mining Right;
[66.4]
for minerals Andalusite
and Magnesite, when neither is found on the Land;
[36]
[67]
Sefateng also challenges the decision made by the DMRE Minister (the
first
respondent) to reject the internal appeal.
[68]
Sefateng's grounds of appeal contest the lawfulness, reasonableness,
and rationality
of the decision to grant the Lethabo Mining Right.
[69]
Sefateng argues it has a right to administrative justice under
section 33
of the Constitution and relevant MPRDA provisions. DRE
officials are constitutionally required to ensure that actions
related to
mining right applications and appeals are lawful,
rational, reasonable, and procedurally fair.
[70]
The applicant contended that the appeal decision was made without
considering
several pertinent factors and without the Minister of the
DMRE considering each of the grounds raised by Sefateng on appeal. As
a result, the applicant argued that the Minister did not fully
address the issues before him.
[71]
The grounds for review are the following:
[71.1]
A moratorium
prohibited the granting of the
Lethabo Mining Right the;
[71.2]
the Lethabo Mining Right was unlawfully accepted;
[71.3]
the failure to consult with Sefateng;
[71.4]
the minerals are not found on the land and
[71.5]
the Lethabo Mining Right’s application is defective.
[72]
I will discuss and evaluate these grounds sequentially here in below.
EVALUATION OF
GROUNDS OF REVIEW:
Moratorium
prohibited the granting of the Lethabo Mining Right
[73]
The Lethabo Mining Right was granted despite a moratorium issued by
the DRE
Minister in the Government Gazette on 24 May 2013. This
moratorium restricted the granting of Mining Rights for 10 years over
areas
including the Farm Waterkop 113, except for entities already
holding a Prospecting Right and exercising their exclusive right to
apply for a mining right as per section 19(1)(b) of the MPRDA.
[74]
In the case of the
Minister
of Mineral Resources v Mawetse (SA) Mining Corporation Ltd
[37]
the Supreme Court of Appeal was tasked with determining the
commencement date for the duration of a right. The Court determined
that the duration should be calculated from the date when the
applicant was informed that the right would be granted, rather than
from the date of notarial execution or any dates specified within the
right itself
[75]
The DMRE Regional
Manager notes that Lethabo held a Prospecting Right granted
on
19
December 2007
[38]
for a period of 5 years. According to the
Mawetse
judgment,
the 5-year period of the Lethabo Prospecting Right ended on
18
December 2012
.
The record shows that, based on the DMRE's Verification of Spatial
Data, the Lethabo Prospecting Right expired.
[76]
The Lethabo Mining Right was granted on approximately
26 June
2017
. This was in conflict with the moratorium that prohibited
the granting of additional mining rights on Farm Waterkop 113 without
a valid Prospecting Right.
[77]
Based solely on this reasoning, the decision to grant Lethabo a
Mining Right
and the subsequent decision to refuse the internal
appeal are both subject to review and annulment under the Act.
[78]
Consequently, the decision of the DMRE Director-General to grant the
Lethabo
Mining Right, as well as the DMRE Minister's decision to
refuse the internal appeal,
[78.1]
was made in contravention of the moratorium issued under section 49
of the MPRDA and
[78.2]
was based on the incorrect claim that Lethabo had an exclusive right
to apply
for a mining right as a Prospecting Right holder.
[79]
These decisions are subject to review and potential annulment due to
the following
reasons:
[79.1]
the decisions were notably affected by a legal error, as outlined in
section 6(2)(d)
of PAJA;
[79.2]
these decisions did not consider this significant and relevant fact,
as required
by section 6(2)(e)(iii) of PAJA;
[79.3]
constitute administrative actions that are not logically related to
the purpose
of the empowering provision, as envisaged by section
6(2)(f)(ii)(bb).
[79.4]
and constitute unconstitutional and unlawful administrative action,
as contemplated by section 6(2)(i).
Lethabo Mining Right
unlawfully accepted
[80]
Since 24 May 2013, Sefateng has held a ceded Prospecting Right.
[39]
Under section 19(1)(b) of the MPRDA, Sefateng possesses the exclusive
right to apply for a Mining Right for Chrome ore over the
Farm
Waterkop 113.
"
19 Rights and
obligations of holder of prospecting righ
t
(1)
In addition to the rights referred to in section 5,
the holder of
a prospecting right has-
(b)
subject to subsection (2), the exclusive right to apply for
and be granted a mining right in respect of the
mineral and prospecting area in question;" (my underlining)
[81]
Sefateng's application for a Mining Right, submitted on
24
May 2013
,
[40]
was already under consideration by the DMRE when Lethabo submitted
its application for a Mining Right on or about
26
August 2013
.
[41]
[82]
The record indicates that Lethabo applied for the minerals: PGMs,
Magnesite,
Andalusite, Iron, Titanium, and Chrome over the farms
Waterkop 113, Mecklenburg 112, and Malekskraal 509.
[42]
[83]
The Lethabo Mining Right was accepted on
29 January 2014
,
pending the Sefateng Mining Right. On
12 September 2014
,
Sefateng was granted a Mining Right for Chrome ore, simultaneous with
the acceptance of Lethabo's application by the Regional
Manager.
[84]
According to section 22(2)(b) of the MPRDA, the DRE Regional Manager
can only accept a Mining Right application if no one else holds a
prospecting right, Mining Right, mining permit, or retention permit
for the same mineral on the same land.
[85]
In accordance with section 22(2)(b) of the MPRDA, the DMRE Regional
Manager
(the fourth respondent) was precluded from accepting
Lethabo's Mining Right.
[86]
At this early stage of the MPRDA process, the Lethabo Mining Right
was unlawfully
and impermissibly accepted, thereby contravening
section 22(2)(b) of the MPRDA.
[87]
Section 23(1)(g) of the MPRDA states that compliance with the MPRDA
is
a jurisdictional condition for granting a Mining Right. The DMRE
Minister (or their delegate, in this case the DMRE Director-General)
is authorized to grant a Mining Right only if, among other
conditions, "(
g) the applicant is not in contravention of any
provision
" of the MPRDA.
[88]
Lethabo's application for a Mining Right was granted beyond the scope
of the
provisions outlined in the MRPDA. Consequently, the DMRE
Director-General did not fulfil its duty to adhere to the mandatory
and
material procedures and conditions set forth by the MPRDA.
[89]
The Minister of the DMRE did not consider this ground of appeal,
thereby failing
to properly deliberate on the matter. Consequently,
the denial of the internal appeal was unreasonable.
[90]
The decision to
award Lethabo a Mining Right and the decision to deny the
internal
appeal are therefore both subject to review under PAJA.
[43]
Failure
to consult
[91]
A meaningful consultation process is required to advance the
objectives
of the MPRDA. The notification and consultation with
interested and affected parties align with the specified objectives
of the
MPRDA as set out in section 2.
[92]
The MPRDA aims to ensure that the nation's mineral and petroleum
resources
are exploited in an orderly and ecologically sustainable
manner, while promoting social and economic development.
[93]
The Constitutional Court
[44]
emphasised the importance of consultation and clarified the nature
and obligation to consult.
[94]
Section 22(4)(b) of the MPRDA required Lethabo, when applying for a
Mining
Right, to consult in the prescribed manner with Sefateng as
the lawful occupier and interested and affected party.
[95]
After being notified of the acceptance of its Mining Right
application,
Lethabo was required to consult with the landowner, the
lawful occupier (Sefateng), and any interested or affected parties,
and
incorporate the consultation results into the environmental
reports.
[96]
This mandatory consultation serves an evident and significant purpose
to achieve
a prior equitable and just balance between conflicting
rights concerning the use of the land.
[97]
Lethabo breached MPRDA provisions by not consulting Sefateng, thereby
prohibiting
the granting of a Mining Right to Lethabo.
[98]
Lethabo applied for a Mining Right over the same land for which
Sefateng
had already applied for, and was subsequently granted, a
Mining Right for Chrome ore.
[99]
The granting of Lethabo's Mining Right resulted in overlapping
physical mining
operations, overlapping environmental management as
per the approved environmental management plans, and an overlap in
the implementation
of mine health and safety legislation. This
situation has the potential to cause significant health and safety
concerns.
[100]
Had Lethabo complied with the
MPRDA, Sefateng and Lethabo could have consulted and possibly
reached
an agreement on how to manage these overlaps to ensure compliance
with legislation.
[45]
[101]
Consultation would have been necessary to prevent conflicting
legislative terms
and conditions. It is important to consult with
existing Mining Right holders, such as Sefateng, who operate a Chrome
mine on the
overlapping land. This consultation helps address
uncertainties and prevents practical and legal complications. Holders
of competing
rights may choose to enter into a working agreement,
which would then be reflected in their respective Mining Work
Programmes for
approval by the DMRE. Such arrangements are optional
and not mandatory.
[102]
The DMRE Regional Manager, in recommending to the DMRE Minister on
the internal appeal,
concluded that Lethabo was not legally required
to consult Sefateng.
[103]
The basis for this conclusion was that, at the time Lethabo submitted
its application
for a Mining Right, Sefateng had not yet been granted
a Mining Right but only had a pending application. Consequently, it
is asserted
that Sefateng was in the same position as Lethabo and
therefore not considered an interested and affected party requiring
consultation
by Lethabo. The DRE Regional Manager further argues that
once the Sefateng Mining Right was granted, Lethabo's duty to consult
did not apply retrospectively.
[104]
The DMRE Regional Manager further advised that a task force be formed
to facilitate
negotiations among all appellants, including Sefateng
and Lethabo, regarding how the four rights could coexist within the
same
area.
[46]
[105]
There appeared to be a misunderstanding by the DMRE Regional Manager
regarding the
status of the Sefateng, and there are errors in the
reasoning provided.
[106]
The analysis by the DRE Regional Manager, albeit flawed in reasoning,
brings to
light several significant facts:
[106.1]
the Sefateng Mining Right application was lodged before the Lethabo
Mining Right
application;
[106.2]
the Sefateng Mining Right application
was accepted and granted
before the
acceptance of the Lethabo Mining Right application;
[106.3]
Lethabo did
not consult Sefateng
either at the time when the Lethabo Mining Right was
accepted,
or thereafter or before the granting of the Lethabo Mining Right;
[106.4]
the DMRE Regional Manager was aware
that no consultation with Sefateng took
place;
and
[106.5]
that the conclusion of a working agreement is crucial and the only
way to have competing mining rights co-exist over
overlapping Land.
[107]
Section 22(4)(b) of the MPRDA clearly stipulates that consultation is
mandated after
the acceptance of a Mining Right application, rather
than at the time of submission of the Mining Right application.
"(4) If
the Regional Manager accepts the application, the Regional Manager
must, within 14 days from the
date of acceptance
, notify the
applicant in writing-
…
(b)
to consult
in
the prescribed manner with the landowner, lawful occupier and
any
interested and affected party and include the result of the
consultation in the relevant environmental reports
."
(my underlining)
[108]
Section 22(5) of the MPRDA also requires the DMRE Minister to
expressly
consider the results of the consultation
.
[109]
Regulation 1 of the MPRDA Regulations define an
'interested and
affected party'
to mean:
"
a
natural or juristic person or an association of persons with a
direct interest
in
the proposed or existing prospecting or mining operation or
who
may be affected
by the proposed
or existing prospecting or mining operation.
.."
[110]
It is unequivocal that Sefateng has a direct interest and may be
impacted by a mining
operation overlapping in Land. Sefateng is
evidently an interested and affected party and, at the time, was also
the lawful occupier
of Land involved in overlapping physical mining
operations, environmental management, mine health and safety
legislation, and the
mining work programme.
[111]
The DMRE Regional Manager, in his recommendation to the DMRE Minister
regarding
the internal appeal, and the DMRE Minister, in deciding the
internal appeal, both did not account for the following:
[111.1]
the MPRDA compels prior consultation;
[111.2]
that there is nothing which statutory compels the conclusion of a
working agreement; and
[111.3]
that consultation with Sefateng cannot take place after the fact.
[112]
The DMRE Regional Manager’s recommendation for the parties to
agree on a working agreement post-approval
further highlights the
forced attempt to fix a clearly flawed Lethabo Mining Right.
[113]
The reasoning of both the DMRE Regional Manager and the DMRE Minister
is significantly flawed
and leads to potentially severe consequences,
thereby hindering the objectives of the MPRDA. Without such a prior
agreement that
has been duly consulted on, mining operations cannot
be conducted without violating various provisions of the MPRDA, as
well as
environmental and mine health and safety legislation.
[114]
Consultation is essential to fulfil the objectives of sections 2(g)
and 2(h) of the MPRDA. It
is undeniable that Sefateng, exercising its
exclusive right to apply for a Mining Right over the same land that
overlaps Lethabo's
application, has always been an interested and
affected party.
[115]
Lethabo acknowledged Corridor Mining Resources (Pty) Ltd (predecessor
to Sefateng) as an interested party,
so there is no reason to decide
otherwise for Sefateng, a fact known by DRME when making the
decisions.
[116]
The DRE Regional Manager's recommendations to the DMRE Minister were
influenced by legal errors,
and failure to consult with Sefateng,
negating the purpose of such consultation.
[117]
Section 23(1)(g) of the MPRDA, along with section 22(4), required
Lethabo to consult with Sefateng before
a Mining Right could be
granted. According to section 23(3), the DMRE Minister had to refuse
the mining right application if it
failed to meet subsection (1)
requirements.
[118]
The Record and answering affidavit show that there was no
consultation with Sefateng. The documentation
indicates that
Lethabo's only attempt at consultation was a notification sent to
Corridor Mining Resources, which preceded Sefateng,
rather than to
Sefateng itself.
[47]
[119]
Lethabo has failed to provide
any proof of
consultation with Sefateng, despite being confronted with this major
shortcoming to its application for a Mining Right.
Lethabo’s failure to consult Sefateng has also not been
addressed.
[120]
The DMRE Regional Manager wrongly concluded in the internal appeal
that consultation was unnecessary,
contradicting section 22(4)(b) and
several other provisions of the MPRDA.
[121]
The Director-General of the DMRE did not fulfil the obligation to
adhere to the mandatory and significant
procedures and conditions
stipulated by the MPRDA.
[122]
A decision maker must apply his/her mind to a decision and not
exercise a power arbitrarily or capriciously.
When a decision is made
without considering relevant factors, or based on irrelevant ones,
the decision maker acts arbitrarily.
Consequently, their decision is
subject to review.
[123]
When a decision maker ignores the specific question at hand, they
fail to use the discretion
given by the statute, making their
decision flawed.
[48]
A
decision is unlawful if the decision maker does not properly consider
important factors or gives undue weight to less significant
ones.
[49]
[124]
In accordance with section 6(2)(b) of PAJA, a decision can be
reviewed if a mandatory
and material procedure or condition
prescribed by an empowering provision was not followed. This
provision requires decision makers
to aim to achieve the objectives
of the Act when making decisions under legislation. This is
especially important when the objectives
are clearly defined, and the
legislation specifies numerous procedures and considerations
necessary to meet those objectives. An
invalid decision-making
process results in an irrational decision.
[125]
According to section 6(2)(h) of PAJA, a decision is subject to review
if it is deemed
so unreasonable that no reasonable person would have
made it. The irrationality of a decision is further demonstrated when
it lacks
support from the reasons provided. Therefore, a decision
made without considering input from key stakeholders, or without
considering
essential information needed for a proper decision, or
without thoroughly addressing the questions at hand, cannot be
considered
procedurally rational, fair, or reasonable.
[126]
Failure to adhere to jurisdictional conditions of the MPRDA is a
reviewable non-compliance
with mandatory procedures. The DMRE
Director-General’s decision to grant Lethabo a Mining Right was
unlawfully granted and
procedurally unfair. Despite clear evidence of
a lack of required consultation, the DMRE Minister dismissed the
internal appeal.
As a result, the appeal decision is unreasonable and
not logically connected to the available information. The crucial
significance
of administrative justice within the regulatory
framework of the MPRDA cannot be overstated.
[127]
Consequently, beyond the grounds for reviewing the decision to grant
Lethabo a Mining
Right, the appeal decision is also subject to review
under section 6(2)(h) and section 6(2)(f)(ii)(cc) of PAJA.
[128]
These decisions were significantly impacted by a legal error, as the
Director-General
of the DRE and the Minister of the DMRE failed to
recognize that prior consultation is a mandatory condition for the
granting of
a mining right under section 23(1)(g) in conjunction with
section 22(4)(b) of the MPRDA.
[129]
The reasoning that Sefateng did not qualify as an interested party is
incorrect.
This made the administrative decisions procedurally unfair
(section 6(2)(f) of PAJA), considered irrelevant factors (section
6(2)(e)(iii)),
and was not rationally connected to the purpose of
consultation (section 6(2)(f)(i)(bb)). The outcome was so
unreasonable that
no reasonable person could have made the same
decision (section 6(2)(h)), making these decisions unconstitutional
and unlawful
(section 6(2)(i)).
Minerals
do not occur on the Land
[130]
It is undisputed that Andalusite and Magnesite minerals covered by
the contested
Mining Right are not found on Farm Waterkop 113.
[131]
Section 23 of the MPRDA provides that:
"(1)
Subject to subsection (4), the Minister must grant a mining right if-
(a)
the mineral can be mined optimally in
accordance with the mining work programme..."
[132]
The Record shows that Lethabo's Mining Work Programme (MWP) is
deficient and lacks
detail in many areas.
[50]
[133]
The MWP of Lethabo lists minerals, including Magnetite, Andalusite,
PGMs, Iron,
Titanium, and Chrome. However, the Lethabo Mining Right
was granted for Magnesite, not Magnetite.
[134]
The MWP does not mention the mineral for which the Lethabo Mining
Right was granted.
Although Andalusite is mentioned, it does not
occur on Farm Waterkop 113.
[135]
Paragraph 4.3 of the MWP, which is intended to address the geological
map of the land,
only references the "
chromite
"
layers, without reflecting any other minerals.
[136]
Section 1 of the MPRDA defines a
'mining work programme'
to
mean:
"
the
planned mining work programme to be followed in order to mine a
mineral resource optimally
;"
[137]
Section 25 of the MPRDA obligates of a Mining Right holder to conduct
its mining
in accordance with its MWP:
"
25
Rights and obligations of holder of mining right
…
(2)
The holder of a mining right must –
…
(b)
actively conduct mining in accordance with the
mining work programme;.."
[138]
The Lethabo Mining Right is therefore flawed and cannot be issued for
minerals that are
not included in the MWP or for minerals that are
absent from the Land.
[139]
The Director-General of the DMRE failed to consider these significant
discrepancies
in the MWP, resulting in an absence of a rational or
reasonable connection or basis for granting the Mining Right for
minerals
that do not exist on the Land or were not addressed in the
MWP.
[140]
The Lethabo Mining Right should be reviewed and set aside because the
MWP has a
fatal defect: there is a discrepancy between the minerals
on the land, those listed in the MWP, and those granted in the mining
right.
Lethabo Mining Right
application defective
[141]
In its answering affidavit, Lethabo claims that it was granted a
Mining Right for Chrome
ore, which Sefateng currently possesses.
However, the Record does not contain any documentation confirming the
granting of a Mining
Right to Lethabo, despite this issue being
central to the Review. Furthermore, Lethabo has not produced a copy
of its Mining Right.
[142]
Based on Lethabo's claim of holding a Mining Right over Chrome ore,
it is indicated that
the Lethabo Mining Right may be subject to
review and possible invalidation, as the MPRDA prohibits the issuance
of two Mining
Rights for the same mineral and land.
## [143]The Constitutional Court inMinister
of Mineral Resources v Sishen Iron Ore Co (Pty) Ltdand Another 2014 (2) SA 603 (CC) (12 December 2013) confirmed that
under section 22(2)(b) of the MPRDA, the state cannot grant
mineral
rights to anyone other than the existing right-holder for the same
mineral and land. Based on Lethabo's Mining Right, the
disputed
Mining Right should be revoked upon review.
[143]
The Constitutional Court in
Minister
of Mineral Resources v Sishen Iron Ore Co (Pty) Ltd
and Another 2014 (2) SA 603 (CC) (12 December 2013) confirmed that
under section 22(2)(b) of the MPRDA, the state cannot grant
mineral
rights to anyone other than the existing right-holder for the same
mineral and land. Based on Lethabo's Mining Right, the
disputed
Mining Right should be revoked upon review.
##
[144]
Upon review, the Record
indicates that Lethabo's Mining Right application is deficient.
There
was inadequate public participation, and Lethabo's Mine Work Program
(MWP) lacks essential details and contains numerous
deficiencies.
Despite assertions that environmental studies were conducted on the
Farms Waterkop 113, Mecklenburg 112, and Malekskraal
509, there is no
reference to Sefateng or its neighbouring entities Chromex or
Bauba.
[51]
[145]
Lethabo's MWP submission failed to include required Regulation 8
information, despite
previously holding a lapsed Prospecting Right.
Specifically, it marked "N/A" for comprehensive progress
reports on previous
prospecting, which is necessary according to
Regulation 8. This omission violates the MPRDA and the
responsibilities of a prospecting
right holder, making the Lethabo
Mining Right ineligible for approval by the DMRE under section
23(1)(g) of the MPRDA.
[146]
In paragraph 5.9 of the MWP, it is claimed that the price used in the
cashflow forecast
is USD $380 per tonne, which applies only to
Chrome. Titanium and Vanadium are measured and priced per kg, while
PGMs are priced
per ounce. This discrepancy means the financing
forecast for Lethabo was misrepresented and flawed, making it
impossible for the
DMRE to approve the Mining Right, as it requires a
compatible financing plan under section 23(1)(c) of the MPRDA.
[147]
Without an approved MWP, Lethabo could not have received a Mining
Right. Therefore, due
to these significant flaws in the MWP, the
Lethabo Mining Right should be reviewed and set aside.
CONCLUSION:
[148]
Sefateng as a result of the specified grounds of appeal seeks a
review and setting aside
of the decisions, as well as an order to
correct and substitute the decision to grant the Lethabo Mining Right
with a decision
to refuse the Mining Right.
[149]
This Court is empowered both by section 172(1)(b) of the Constitution
as well as
section 8(1) of the PAJA to make any order that is just
and equitable.
[150]
Section 8(1)(c)(i) of the PAJA permits the remittance of the matter
for reconsideration
by the administrator. Additionally, Section
8(1)(c)(ii) stipulates that in exceptional circumstances, a court is
authorized to
substitute or modify the administrative action.
[151]
In
Gauteng
Gambling Board v Silverstar Development & others
[52]
Heher JA said:
"
An
administrative functionary that is vested by statute with the power
to consider and approve or reject an application is generally
best
equipped by the variety of its composition, by experience, and its
access to sources of relevant information and expertise
to make the
right decision. The court typically has none of these advantages and
is required to recognise its own limitations...That
is why remittal
is almost always the prudent and proper course
."
[152]
Exceptional circumstances existed in the aforesaid case, deeming
remittal unnecessary
and opting for substitution due to the
inevitable outcome.
[153]
In
Trencon
Construction (Pty) Ltd v Industrial Development Corporation of South
Africa Ltd
[53]
the
Constitutional Court highlighted factors that should inherently hold
more weight in this inquiry:
[153.1]
Firstly, whether the court is in as good a position as the
administrator to make the decision;
and
[153.2]
Secondly whether the decision of the administrator is a foregone
conclusion.
[153.3]
Thereafter the court should consider other relevant factors,
including
delay, bias or the
incompetence of the administrator.
[154]
The main consideration is whether a substitution order is fair and
just, considering
all parties involved. This requires an evaluation
of each case based on its specific facts and circumstances.
[155]
I agree with counsel for the Applicant that this is an extraordinary
case, and there
are significant grounds to employ the court's
authority in favour of Sefateng:
[155.1]
The outcome appears inevitable, given the DMRE's ongoing position
which contradicts
the MPRDA. They maintained that Sefateng was either
exempted from consultation requirements or that consultation could
occur retrospectively.
[155.2]
It is abundantly clear that
andalusite and magnesite
are not
found on the Land.
[155.3]
The internal appeal has already faced excessive delays, and further
postponement to
the DMRE Minister or Director-General would be
unjust.
[155.3]
The Rule of Law necessitates certainty and predictability, enabling
ordinary citizens to
manage their affairs in advance.
[156]
Accordingly, I find that the request by Sefateng to have the original
decision corrected
and substituted is warranted.
[157]
Costs must follow the event. Due to the intricacy of this matter the
costs shall
include counsel’s fees on scale C.
Order
[1]
The applicant is granted leave to file the further affidavit dated 20
August 2024;
[2]
The first respondent's decision to refuse the applicant's
administrative appeal
with
Departmental Reference
9/2/4/3/796
on 12 January 2022, is reviewed and set aside;
[3]
The decision of the second respondent dated 28 June 2017 to grant
mining
right
LP
30/5/1/2/2/10073 MR
and the consequent
Mining Right Notarially
Executed on 3
February 2023, for andalusite and magnesite, excluding chrome ore,
in terms of section 23 of the Mineral and
Petroleum Resources
Development Act
28 of 2002 ("MPRDA"), in respect of farm Waterkop 113 KT in
the Limpopo Province, to the fifth respondent
("the Mining
Right"), is
reviewed and is set
aside;
[4]
The aforesaid decisions are hereby replaced and substituted with the
following
decision by the second
respondent to refuse the fifth respondent's application
for
a Mining Right namely:
The
fifth respondent's application for a Mining Right
[LP
30/5/1/2/2/10073 MR] in respect of the andalusite and magnesite over
the
Farm Waterkop 113 KT in
the Limpopo Province, is refused
.
[5]
The First, Second and Fifth Respondents are to pay the costs of this
application inclusive of Counsel’s
fees on scale C, jointly and
severally, the one paying the other to be absolved.
S VAN ASWEGEN
ACTING JUDGE OF THE
HIGH COURT
PRETORIA
For
the Applicant:
Adv N Fourie instructed by
Venter & De Villiers Attorneys
For
the Respondents:
No
appearance
[1]
0002-1
[2]
FA2.3
at 0002-91
[3]
Section 5(3)(b) of the MPRD
[4]
Section 5(3)(c) of the MPRD
[5]
Clause 2 of
FA5
at 0002-107
[6]
FA4.1
at 0002-98
[7]
FA4.2
at 0002-99
[8]
FA7
at 0002-134
[9]
FA9
at 0002-180
[10]
FA10
AT 0002-180
[11]
Annexure
B to FA4.2 at 0002-99
[12]
FA12
at 0002-201
[13]
FA9
at 0002-180
[14]
0002-1
[15]
0027-1
and 0027-2
[16]
0027-2
[17]
0027-4
[18]
0027-5
[19]
0027-6
[20]
0004-1
[21]
0002-216
[22]
0002-255
[23]
0017-7
[24]
0017-6
[25]
0004-4
[26]
Annexure MR 1 at
0002-349
[27]
0002-220
[28]
0002-218
[29]
0002-220
[30]
Annexure RA2 at 0002-289
[31]
Ganes v Telecom Namibia Ltd
2004 (3) SA 615
(SCA) and PM v MM 2022
(3) SA 403 (SCA)
[32]
Paragraphs
4.1-4.7 of AA at. 0002-218
[33]
FA12
at 0002-201
[34]
0002-1
[35]
FA3
at 0002-96
[36]
FA6.1 and Regulation
11(1)(c) in respect of the details
of the identified mineral deposit at 0002-116 and 0002-132
[37]
2016
1 SA 306
SCA
[38]
FA9
[39]
FA2.2
at
[40]
FA2.2
at
[41]
Record
p 520
[42]
Record
p509 -520
[43]
Sections
6(2)(d), section 6(2)(2)(iii), section 6(2)(e)(vi) and section
6(2)(i) of PAJA.
[44]
Bengwenyama Minerals (Pty) Ltd v Genorah Resources (Pty)
Ltd 2011 (3) BCLR 229 (CC
[45]
Sedibeng Iron Ore (Pty) Ltd v Minister of Mineral Resources
and Energy 2021 JDR 3166 (GP)
[46]
FA9
at
[47]
FA4.1
[48]
Littlewood v Minister of Home Affairs
2006 (3) SA 474
(SCA) para
16-17
[49]
Bangtoo Bros and others v National Transport Commission 1973 (4) 667
(N)
[50]
Record
pages 467 – 504.
[51]
Record
pages 762-1238
[52]
2005
4 SA 67
(SCA) para 29
[53]
2015
5 SA (CC) at para 47
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